Kenyan Diaspora Sacco in Canada Launches Sharia-Compliant Financing

Kenyans living in Canada can now access Sharia-compliant financing through new loan products introduced by Pamoja Canada Diaspora Sacco. 

The products were launched during the Salama Community Association’s Annual Summer Barbeque and are intended to meet the financial needs of members who avoid conventional interest-based lending for religious reasons. The new facilities are designed to support emergency expenses, education and asset acquisition. They provide Muslim members with financing, savings and investment options that comply with Islamic financial principles.

Pamoja Canada Diaspora Sacco Chairman Ephraim Mwaura said inclusivity has been a core part of the organisation’s mission since it was established. He said the new products are intended to encourage greater participation and build trust within the Muslim community.

“Through these Sharia-compliant products, we want to create an environment in which members of the Muslim community can save, invest and access financing in a manner that respects their faith and financial principles,” he said.

The initiative has received support from Kenya’s diplomatic mission in Canada. High Commissioner Geoffrey Kaituko described the products as an opportunity to promote investment while strengthening unity among Kenyans living abroad. 

In remarks delivered on his behalf by Salama Community Association Chairman Osman Shariff, Kaituko said the products could encourage savings, wealth creation and closer ties within the diaspora. He also recognised the wider contribution of Kenyans overseas through remittances, investments, mentorship and community development.

Pamoja Canada Diaspora Sacco was launched in June 2024 and is the first Kenyan diaspora cooperative in Canada to offer Sharia-compliant financial services. The products are also available to members who have returned to Kenya. Around 10 per cent of the Sacco’s members are from the Muslim community, and the organisation expects that number to grow as awareness of the services increases.

Mwaura called on Kenya’s State Department of Cooperatives to support the introduction of similar services for Kenyan diaspora communities in other countries. He said there is growing demand for ethical and inclusive financial products beyond Canada.

The introduction of the Sharia-compliant loan products expands access to financial services for members whose religious beliefs prevent them from using conventional interest-based loans. The Sacco says the move reflects its commitment to providing financial services that meet the needs of Kenya’s diverse diaspora community.